The International Monetary Fund says its Executive Board has completed the third review with related to Sri Lanka's Extended Fund Facility arrangement, which enables the disbursement of about 251.4 million dollars.

Issuing a statement the IMF Executive Board said Sri Lanka's fiscal performance has been satisfactory and all targets until September were met.

The Board said while the authorities met fiscal targets and legislated the income tax reform, further consolidation is necessary, given Sri Lanka's high debt burden and large gross financing needs.

The government's reform program, supported by the IMF, aims to reduce the fiscal deficit, rebuild foreign exchange reserves, and introduce a simpler, more equitable tax system to restore macroeconomic stability and promote inclusive growth.